KDSG Sign MoU with NNPC, Gas Company to Boost Power Supply

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Governor Nasir El-Rufai has said that Kaduna State is ready for gas supply by the Gas Aggregation Company of Nigeria because it will bring the additional source of energy for businesses and residents in the state.

The governor further said that ‘’it will create jobs and provide skills for artisans who will work on the gas pipelines and associated infrastructure. Beyond that, this project will power the industries that have responded with enthusiasm to our investment promotion campaign”.

El-Rufai expressed Kaduna state’s commitment to the gas project which he described as “a welcome boost to our investment and job creation strategy.

Kaduna State Government (KDSG) signed a Memorandum of Understanding (MOU) with the NNPC and the Gas Aggregation Company of Nigeria (GACN) to expand the supply and utilisation of gas in the state on Thursday.

The MoU is the outcome of engagements between the Kaduna State Government, the Nigerian National Petroleum Corporation (NNPC) and the GACN in recent months.

The signing event was attended by Dr Hadiza Balarabe, the Deputy Governor of Kaduna, senior KDSG officials, Malam Mele Kyari, the Group Managing Director of NNPC, Abdulkabir Ahmed, the GED Gas & Power NNPC, Adokiye Tombomieye, the GED Upstream NNPC and Mr. Olalekan Ogunleye, the Managing Director GACN and members of his team.

Speaking at the event which held at the Sir Kashim Ibrahim House, Kaduna on Thursday, the governor thanked the Group Managing Director of NNPC, Malam Mele Kyari for this remarkable developmental initiative.

The governor disclosed that the Kaduna State Government has worked to create two new industrial areas in the state since 2015.

‘’The Green Agro-Allied Industrial Zone (GAAIZ) is located in Chikun Local Government Area, along the Kaduna-Abuja highway, while the Green Economic Zone (GEZ) is in Igabi Local Government Area.

‘’GAAIZ is already hosting investments like the Olam project, the fertiliser plant of OCP of Morocco and DPAN, the joint venture between Dangote Industries and Peugeot for vehicle assembly,’’ he added.

According to El Rufai, the African Development Bank disclosed that it will be financing our Special Agro-Processing Zone within the GAAIZ this week.

‘’The Green Economic Zone is being developed as an industrial park for light manufacturing industries,’’ he further said.

The governor noted that gas provides a cost-effective option for powering factories, homes and vehicles, assuring that “our industrial parks provide clear evidence that Kaduna is ready for gas.’’

‘’The potential customers are here, and this gas expansion project will only attract more business customers. We expect that this gas project will also help expand power supply capacity and options in Kaduna State. It will provide feedstock for the 215MW power plant in Kudenda,’’ he assured.

El Rufai promised that ‘’ Kaduna State Government will also locate an 84MW power plant in Kudenda, also to be powered by gas. The combined effect of these two power plants will be to make power supply more reliable in Kaduna State.”

In his remarks, the Group Managing Director of NNPC, said that ‘’NNPC’s focus is to deliver gas into the domestic market. We know that it is the game changer for our country, particularly more so for Kaduna State.”

He assured the governor that the Ajaokuta-Kaduna-Kano gas pipeline will be delivered on schedule.

In his welcome address Idris Nyam, the Commissioner Ministry of Business, Innovation and Technology, said that the purpose of the project is to promote gas development and utilisation projects within Kaduna State.

According to him, this will be in alignment with the AKK Gas Pipeline project and the national objective of stimulating industrialisation through gas commercialisation.

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